Bill Text: VA HB13 | 2020 | Regular Session | Prefiled
Bill Title: Condominium association funds; fiduciary management, permissible investments.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-02-06 - Stricken from docket by General Laws (20-Y 1-N) [HB13 Detail]
Download: Virginia-2020-HB13-Prefiled.html
Be it enacted by the General Assembly of Virginia:
1. That §55.1-1944 of the Code of Virginia is amended and reenacted as follows:
§55.1-1944. Deposit of funds.
A. All funds deposited with a managing agent shall be handled in a fiduciary capacity and shall be (i) kept in a fiduciary trust account in a federally insured financial institution separate from other assets of the managing agent; (ii) held in the form of securities issued, assumed, or guaranteed by the United States; or (iii) kept in a money market fund pursuant to the requirements of subsection B. The funds shall be the property of the unit owners' association and shall be segregated for each account in the records of the managing agent in a manner that permits the funds to be identified on an individual unit owners' association basis.
B. A managing agent may keep up to $5,000 of funds in a money market account that invests only in (i) securities issued, assumed, or guaranteed by the United States or (ii) other financial instruments guaranteed by securities of the United States. A managing agent may keep up to $200,000 of additional funds in such money market account, provided that he transfers such additional funds to an investment otherwise permissible pursuant to this section within five business days.
